Key Financial Figures (FY 2025-26)

  • Revenue from Operations: ₹24,183.48 Lakhs (Previous Year: ₹26,316.27 Lakhs)
  • Profit Before Tax and Exceptional Items: ₹753.75 Lakhs (Previous Year: Loss of ₹740.45 Lakhs)
  • Exceptional Items: ₹23.53 Lakhs (Past service costs on gratuity due to Labour Code implementation)
  • Tax Expense: ₹228.52 Lakhs (Current Tax: ₹165.63 Lakhs; Deferred Tax: ₹2,119.53 Lakhs; Prior Year: Nil)
  • Net Loss: ₹1,554.94 Lakhs (Previous Year: Loss of ₹467.53 Lakhs)
  • Total Comprehensive Loss: ₹1,756.64 Lakhs (Previous Year: Total Comprehensive Income of ₹192.78 Lakhs)
  • Earnings Per Share (EPS): -₹223.56 (Previous Year: -₹67.22)
  • Dividend Recommended: 10% (₹10 per share of ₹100 each), absorbing ₹69.55 Lakhs

Operational Highlights

  • Textiles Segment: Revenue of ₹20,906.18 Lakhs from yarn and fabric sales. Exports were ₹2,738.14 Lakhs (down 18.79% YoY). Production was lower due to adverse market conditions and labor fluctuations.
  • Rental Services Segment: Income of ₹2,480.28 Lakhs (up from ₹2,176.53 Lakhs in PY), from 257,565 sq. ft. of let-out space. A new phase of 120,000 sq. ft. is planned for completion by 2027-28, with bank funding agreed.
  • Energy Savings: Savings of ₹3.43 Lakhs from captive solar and wind generation. An 8.5 MW solar power project is expected to save ₹11 Crores annually once fully operational.

Capital Structure

  • Paid-up Equity Capital: ₹695.55 Lakhs (69,555 equity shares of ₹100 each)
  • Promoter Holding: 65.60% (456,250 shares)
  • Shares held by IEPF Authority: 21,493 shares (3.09%)
  • Dematerialized Shares: 96.35% of total capital

Board and Management

  • Chairman & Managing Director: Sri S. Pathy (re-appointed for 5 years from April 24, 2026, via Postal Ballot)
  • Deputy Managing Director: Sri Aditya Krishna Pathy (re-appointed for 3 years from July 30, 2025)
  • Company Secretary: Sri N. Singaravel
  • CFO: Sri A. Doraiswamy
  • Board Composition: 8 Directors (2 Executive, 6 Non-Executive including 4 Independent Directors)
  • Change in Director: Smt. Suguna Ravichandran (Independent Director) retired on September 2, 2025, upon completion of her second term. Smt. Priya Bhansali was appointed as Independent Director from September 3, 2025.
  • Director Retiring by Rotation: Sri R. Santharam (DIN: 00151333) retires and is eligible for re-appointment at the upcoming AGM.

AGM and Corporate Action Details

  • 116th AGM Date: September 25, 2026, at 12:05 PM IST
  • AGM Venue: Conducted through Video Conferencing (VC) / Other Audio Visual Means (OAVM); deemed venue is the Registered Office in Coimbatore.
  • Business to be Transacted:

1. Adoption of audited financial statements for FY 2025-26.

2. Declaration of dividend.

3. Re-appointment of Sri R. Santharam as a director retiring by rotation.

4. Special Business: Ratification of remuneration of ₹1,50,000 per annum plus taxes for Cost Auditors, A. R. Ramasubramania Raja & Co., for FY 2026-27.

  • Record Date for Dividend & AGM: September 18, 2026
  • Book Closure Date: September 19, 2026, to September 25, 2026 (both days inclusive)
  • E-voting Period: September 22, 2026 (9:00 AM) to September 24, 2026 (5:00 PM) via NSDL.

Auditors and Compliance

  • Statutory Auditors: M/s. Subbachar & Srinivasan, Chartered Accountants (Appointed for 5 years till the conclusion of the 117th AGM in 2027). Their report contains no qualifications.
  • Secretarial Auditors: M/s. MDS & Associates LLP, Company Secretaries. Their report confirms compliance with applicable laws.
  • Cost Auditors: A. R. Ramasubramania Raja & Co., Cost Accountants, appointed for FY 2026-27, remuneration requiring shareholder ratification.
  • Key Audit Matters: Included accounting impact of transition to concessional tax regime (Section 115BAA), expected credit loss on receivables, and valuation of investments and investment property.

Significant Accounting Event: Transition to Concessional Tax Regime

During the year, the Company opted for the concessional tax regime under Section 115BAA of the Income-tax Act, 1961. Consequently:

  • MAT credit entitlement of ₹918.03 Lakhs from earlier years was written off.
  • Deferred tax balances were re-measured, resulting in a significant deferred tax charge.

Other Disclosures

  • Unclaimed Dividend: Unclaimed dividend for FY 2017-18 (₹1,71,072) was transferred to the Investor Education and Protection Fund (IEPF). 1,495 equity shares on which dividend was unclaimed for 7 years were also transferred to the IEPF demat account.
  • Related Party Transactions: All transactions were in the ordinary course of business and at arm's length. No materially significant transactions were reported.
  • Internal Financial Controls: The auditors confirmed that adequate internal financial controls were in place and operating effectively.
  • Loans & Investments: The Company made investments complying with Section 186 of the Companies Act, 2013. No loans or guarantees were given under this section.
  • Fixed Deposits: The Company did not accept any fixed deposits.
  • Vigil Mechanism: No complaints were received under the Whistle Blower policy during the year.
  • CSR: The Company did not meet the threshold for CSR spending under Section 135 of the Companies Act, 2013.

Forward-Looking Statements

The Management Discussion & Analysis outlines opportunities in the textile sector (e.g., PLI schemes, FTAs) and threats (global competition, input cost volatility). For rental services, growth in organized retail is an opportunity, while e-commerce is a threat. The company plans to focus on application-based yarns and expand its rental space.

Registered Office and Contact

686, Avanashi Road, Pappanaickenpalayam, Coimbatore - 641 037

Registrar and Share Transfer Agent

M/s. MUFG INTIME INDIA PRIVATE LIMITED (Formerly Link Intime India Private Limited)